Is Kelly Services, Inc. overvalued or undervalued?

As of 13 February 2025, the valuation grade for Kelly Services, Inc. has moved from very expensive to risky. The company is currently assessed as overvalued. Key ratios include a P/E ratio of 6, a Price to Book Value of 0.34, and an EV to EBITDA of 4.38. In comparison, Barrett Business Services, Inc. is rated attractive with a P/E of 20.28, while Cross Country Healthcare, Inc. is also considered risky with a significantly negative P/E ratio.
The company's financial performance shows a ROCE of 5.21% and an ROE of 6.16%, which are relatively low compared to industry standards. Additionally, Kelly Services has underperformed against the S&P 500, with a year-to-date return of -19.44% compared to the index's 2.44%. This combination of low valuation ratios and poor stock performance suggests that Kelly Services, Inc. is not a favorable investment at this time.